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24 January 2014 at 3:31am

PM's call for business to 're-shore' in the UK

David Cameron will use a speech to lure business back to the UK, reversing the trend of "offshoring" - where businesses relocate manufacturing and customer service to countries where overall costs are cheaper.

Businesses should look the UK for a manufacturing base, David Cameron will say. Credit: PA

The Prime Minister is hoping cheap energy from shale gas and a pro-business regulatory climate could be the key to persuading firms to move "re-shore" back to the UK.

In a speech at the World Economic Forum in Davos, the PM will say companies are most likely to continue to house production in India and China, but argue the West should not be "written off".

According to Government figures, some 1,500 manufacturing jobs have already come back to the UK since 2011, and Business Secretary Vince Cable was today launching a new service called Reshore UK to help firms which want to do the same.